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Rackspace Buys Jungledisk, Slicehost; Jumps on Cloud Computing Bandwagon

In its bid to take on Amazon Web Services, Rackspace Hosting Inc. has announced to acquire two companies, JungleDisk and Slicehost, for around USD 11.5 million, to augment its “cloud computing” offerings.

JungleDisk provides online backup and file storage services that ensure secure environments for multiple users to share a huge volume of cloud storage.

As of now, JungleDisk largely relies on Simple Storage Services (S3) from Amazon, but with the new announcement, it will start offering its services using Cloud Files from Rackspace; however, the company will continue supporting storage using services from Amazon.

Slicehost, a Virtual Machine developer, provides “slices” in Xen-based virtual servers that are dubbed much economical and easier-to-use than the conventional dedicated servers, and it is recognized as an overt competitor to Elastic Compute Cloud (EC2) from Amazon.

Expressing the significance of the acquisitions, Lanham Napier, CEO Rackspace Hosting, said in a statement, “Cloud computing offers tremendous benefits to our customers that complement our traditional managed hosting services.”

Désiré Athow
Contributor

Désiré has been musing and writing about technology during a career spanning four decades. He dabbled in website building and web hosting when DHTML and frames were en vogue and started writing about the impact of technology on society just before the start of the Y2K hysteria at the turn of the last millennium. Following an eight-year stint at ITProPortal.com where he discovered the joys of global tech-fests, Désiré now heads up TechRadar Pro. Previously he was a freelance technology journalist at Incisive Media, Breakthrough Publishing and Vnunet, and Business Magazine. He also launched and hosted the first Tech Radio Show on Radio Plus.